How To Get a Cash Advance
Sometimes you just need a little cash in hand before your paycheck clears the bank. When something comes up like an emergency trip to the hospital or a surprise bill, payday loans can have the answers you are looking for. Here’s how to use a payday loan, or how to get a cash advance.
A cash advance and a payday loan are different terms for the same thing. A cash advance is a very short term loan based on your paycheck. It is not a debt management solution, but can help bridge the gap of a few days when you need cash before your check hits your account.
Find a Cash Advance Center
Your first step in obtaining a cash advance is finding a center or bank that offers payday loan services. Many traditional banks do not offer these type of loans, so your best option maybe a storefront establishment.
Bring a Copy of Your Paycheck
The premise of a payday loan is that you are about to receive a paycheck, but need the money sooner. So head to the center and bring along your paycheck. Speak with the representative and fill out paperwork to arrange a small loan, usually well below $1,000. The cash advance center will look at your information, your bank account information and your old paycheck to determine if you are worthy of a loan.
Sign Off
If you are approved, and most borrowers are, you will be told to sign off on the loan. The fees on the loan are a substantial percentage of the loan itself, and payment terms are strict. You will most likely have to provide your bank account information for insurance purposes.
Then, when all paperwork is in order, the cash advance center will write you a check for the requested amount.
Repay the Loan
Be sure to repay the loan on or before the due date. The interest rates on cash advances are already very high, and failure to pay on time can bring additional fees. The lending center might also pull the funds directly from your bank account which can make your account negative and earn you additional fees.
Be careful to not create a cycle of debt with cash advances. If you find yourself borrowing money before every paycheck, you most likely are spending beyond your limits and hurting yourself in the long run.
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Posted in Business & Finance, Money
